Indirect means testing enables more accurate claimant’s income estimation, which should lead to improved social assistance targeting. Income estimation will be carried out upon characteristics of a household and its members, such as age, education, occupation of working-age household members, features of housing accommodations, claimant’s way of life, etc.
When applying for a means-tested social assistance, claimants should fill in the Form #1 “Household” and the Form #2 “Individual”. The latter form should be filled in for every household member older 16 years.
Results of indirect means testing will not affect social assistance granting. However, the estimation will be used for claimants’ check-ups by social inspectors.
Starting April 2009, the indirect means testing method is piloted in Uman city of Cherkasy oblast, Kamianobridsky district of Luhansk city, Bashtanka rayon of Mykolayiv oblast, Koriukivka rayon of Chernihiv oblast, and Kitsman rayon of Chernivtsi oblast.
Indirect means testing is being introduced within the Social Assistance Reform Project carried out under support of IBRD and SIDA (Swedish International Development Cooperation Agency).